Oil Prices Drop Amid Recession Fears and OPEC+ Supply Increase

Oil prices declined for a second consecutive day due to growing concerns about a potential US recession, the impact of tariffs on global economic growth, and OPEC+'s plans to increase oil production. Brent crude futures decreased by 0.1% to $69.22 a barrel, while US West Texas Intermediate (WTI) crude futures fell by 0.2% to $65.90 a barrel. US President Donald Trump's trade policies, including tariffs on Canada, Mexico, and China, have disrupted global markets. China and Canada have responded with their own tariffs. Trump acknowledged a possible "period of transition" for the US economy but did not predict a recession. Stocks experienced a sharp decline, with the S&P 500 recording its largest one-day drop since December 18 and the Nasdaq sliding 4.0%, its biggest single-day percentage drop since September 2022. US Commerce Secretary Howard Lutnick stated that Trump would maintain tariff pressure on Mexico, Canada, and China. Russia's Deputy Prime Minister Alexander Novak announced that OPEC+ agreed to increase oil production starting in April but could reverse the decision based on market conditions. A Reuters poll indicated that US crude oil stockpiles were expected to rise, while distillate and gasoline inventories likely fell last week.